Sensible Investing

This year shapes out to be one of the worst years in stock market history.  For the last 10 years, the market declined(!) by about 15%, also nearly matching the worst 10 year period around the Great Depression.  That’s our Lost Decade.  With statistics like this, it is hard to continue viewing stock market as a wealth generation vehicle.  This article from Charles Schwab presents some historical perspectives on secular market moves, and argues that significant rebounds follow wipeouts such as the one we are now experiencing. While no one can call the bottom and more down moves are certainly possible, the foundation for the next bull market is being created right now.